Companies

Crocs: revenue up by 9.4%

Aug 12, 2019 United States

The US-based footwear company famous for its clogs announced second quarter results marked by revenue growth. Full year outlook is being increased as a result of the first half performance

Andrew Rees, President and Chief Executive Officer, stated: "We had a terrific quarter, as demand for our product and brand heat continued to climb. With strong revenue growth and better than expected gross margins, we expanded our operating margin 200 basis points to approximately 13% of sales and grew our diluted earnings per share 57% compared to last year’s second quarter. We expect our revenue growth in the back half of the year to significantly outpace the first half; accordingly, we are increasing our full year outlook.”

Second Quarter Results

Revenue totalled 358.9 million US dollars, growing by 9.4% over the second quarter of 2018, or 12.5% on a constant currency basis. Store closures reduced Crocs revenues by approximately 6 million US dollars. Wholesale revenues grew by 9.4%, e-commerce revenues grew by 18.0%, and retail comparable store sales grew by 11.8%. Net income attributable to common stockholders was 39.2 million US dollars, up from 30.4 million US dollars in the second quarter of 2018.

Financial Outlook

With respect to the third quarter of 2019, the Company expects revenue to be between 295 and 305 million US dollars compared to 261.1 million in the third quarter of 2018. The company expects third quarter 2019 revenue to be negatively impacted by approximately 2 million US dollars of currency changes and approximately 3 million US dollars resulting from store closures. Regarding full 2019, Crocs now expects revenue to grow 9% to 11% over 2018 revenues of 1 088.2 million US dollars, compared to prior guidance of 5% to 7%. The company continues to expect 2019 revenue to be negatively impacted by approximately 25 million US dollars of currency changes and approximately 20 million US dollars resulting from store closures.

Image Credits: sweetfeetshoes.co.uk

United States Companies Crocs Footwear Quarter Results Results Shoes